/NOT FOR DISTRIBUTION TO UNITED STATES NEWS SERVICES OR DISSEMINATION/
/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT
INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES./
TORONTO, Aug. 10 /CNW/ - GeneNews Limited (TSX: GEN), a company focused on developing blood-based biomarker tests for the early detection of diseases and personalized health management, today announced that it has closed the second and final tranche of the previously announced non-brokered private placement offering of its common shares. Upon completion of the second tranche, the private placement has been fully subscribed resulting in an issuance of an aggregate of 8,000,000 common shares from treasury at a price of CDN$0.25 per share for total gross proceeds in the amount of CDN$2,000,000.
The second tranche provides additional gross proceeds in the amount of CDN$297,259 through the issuance of 1,189,036 common shares at a price of CDN$0.25 per share. The Company announced the initial tranche for gross proceeds in the amount of CDN$1,702,741 through the issuance of 6,810,964 common shares at a price of CDN$0.25 per share on July 9, 2009. GeneNews will use the proceeds for general working capital purposes, the continued marketing of ColonSentry(TM) in Canada, and pre-launch preparation for the commercial launch of the ColonSentry(TM) test in the United States, Europe and Asia.
The securities issued in the private placement are subject to the Canadian resale rules which include a four-month hold period before the common shares may become freely-tradeable within Canada. The securities have not been registered under the U.S. Securities Act of 1933, as amended, or any state securities laws and, until so registered, may not be offered or sold in the United States or any state or to, or for the account of, U.S. persons absent registration or an applicable exemption from registration requirements. This release does not constitute an offer for sale of securities in the United States.
GeneNews is focused on the application of functional genomics to enable early diagnosis and personalized therapeutic intervention based on disease-specific biomarkers. The Company has developed a novel approach, the Sentinel Principle(TM), to detect and stage virtually any disease or medical condition from a simple blood sample. GeneNews is currently applying the Sentinel Principle(TM) in major areas with unmet clinical needs such as cancer, arthritis, cardiovascular disease and neurological disorders. For more information on GeneNews and the ColonSentry(TM) test, visit www.genenews.com and www.colonsentry.com.
This press release contains forward-looking statements, which reflect the Company's current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual events could differ materially from those projected herein. Investors should consult the Company's ongoing quarterly filings and annual reports for additional information on risks and uncertainties relating to these forward-looking statements. The reader is cautioned not to rely on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements.
SOURCE GeneNews Limited
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